SBA Loan Eligibility for Healthcare Practices — Do I Qualify? (2026)

Can I use an SBA loan to buy an existing medical practice?

Yes — practice acquisitions are one of the most common SBA 7(a) uses in healthcare. Lenders evaluate the practice's historical cash flow, patient retention, payer mix, and equipment condition. You'll need 10% down, 690+ FICO for most lenders, and a transition plan that shows patient retention. Average acquisition loans range from $200K for a small practice to $2M+ for larger ones.

Does Medicare/Medicaid reimbursement affect SBA loan eligibility?

Not directly — accepting Medicare/Medicaid doesn't disqualify you. However, lenders scrutinize payer mix because Medicare/Medicaid reimbursement rates are lower and more volatile than private insurance. A practice with 70%+ government payers may get less favorable terms or lower loan amounts than one with a strong commercial insurance mix.

What's the typical SBA 7(a) loan amount for a healthcare practice?

For practice acquisitions: $200K–$1.5M is typical for primary care and dental. Larger specialty practices can support $2M–$5M loans. Equipment-only loans for major imaging (MRI, CT) typically run $500K–$2M. The SBA 7(a) maximum is $5M.